Your facts seem clear but they are not. Wholesale from a third party could include grey market goods, i.e. authentic goods diverted from a manufacturers chain of distribution. For example, when the Canadian dollar was much less than the US dollar, buying Canadian brand X sunglasses from Canada for resale in US dollars in the US. If you are not knowingly assisting a wholesaler from breaching its distribution agreement, your should have no problems so long as you do not modify the labels which would cause trademark issues. I suspect that your facts may be more complex and you should consider discussing them under the protection of attorney client privilege (i.e. not on a public forum, with an attorney retained by you under a written agreement.) I do quite a bit of "apparel" work and IP work and can be reached through the Avvo profile. There are other very good Avvo attorneys who do the same, such as Ms. Hanson from Venice California who also posts regularly on Avvo.
The above is general legal and business analysis. It is not "legal advise" but analysis, and different lawyers may analyse this matter differently, especially if there are additional facts not reflected in the question. I am not your attorney until retained by a written retainer agreement signed by both of us. I am only licensed in California. See also avvo.com terms and conditions item 9, incorporated as if it was reprinted here.
Depending upon the merchant agreements and distribution rights, you and the "second level seller" may be in violation of the initial buyer's contract for their account...so, you and the "other guy" may want to review their purchase agreements.
Shawn Jackson ESQ. (707) 584-4529
Business Development Attorney EMAIL: [email protected]
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You would need to review:
1. The contracts of the party you are buying the clothing from to see what they say about:
That language should clarify the issue.
Alternatively, contact brand x and ask them about any restrictions that exist.
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